The Price Elasticity of Demand for a Popular Sporting Event

question 367

Multiple Choice

The price elasticity of demand for a popular sporting event is 1.2. If the price of a ticket to this event increases by 10 percent, the quantity of tickets demanded will

• A)decrease by 8.3 percent.
• B)decrease by 12 percent.
• C)increase by 12 percent.
• D)increase by 8.3 percent.

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Definitions:

Hallucinations

Perceptions in a conscious and awake state in the absence of external stimuli which appear real, but are created by the brain.

Catatonia

State of immobility and unresponsiveness, lasting for long periods of time.

Immobility

The state of not moving or being unable to move, often occurring as a behavioral response in animals (including humans) under extreme threat.

Unresponsiveness

The state or condition where an individual fails to react or respond to external stimuli.